This document is available
in three formats: this web page (for browsing content),
PDF (comparable to original document formatting), and
WordPerfect. To view the PDF you will need Acrobat Reader,
which may be downloaded from the Adobe site. For an official signed copy, please
contact the Antitrust
Documents Group.

WASHINGTON, D.C. 
R. Hewitt Pate, Assistant Attorney General in charge of the Department's
Antitrust Division, issued the following statement today as the government
rested its case in the Oracle trial:

"The government's trial
team, led by Claude Scott, has provided the court with compelling evidence
that Oracle's acquisition of PeopleSoft would be anticompetitive. The
result of this merger would be higher prices, less innovation, and fewer
choices for businesses, government agencies, and other organizations
that rely on human resource and financial management enterprise software.

"Witness after witness,
customer after customer, expert after expert gave testimony to support
the government's case. These witnesses and Oracle's own internal documents
demonstrate that there are only three companies that sell the software
products that large enterprise customers demandOracle, PeopleSoft
and SAP. Oracle's own executives described the head-to-head competition
between Oracle and PeopleSoft that has brought lower prices to their
customers. The loss of that competition will lead to higher prices and
less innovation for enterprise software.

"The claim that new
companies entering the marketplace would keep Oracle's prices in check
was shown to be without merit. The hard facts are that entry into this
enterprise market is extraordinarily difficult and would take many years.
Indeed, the effort to draw so much attention to Microsoft's consideration
of entering the market through acquisitionwhich would create no
new competitiononly underscores the absence of competitive entry
of the type that could protect customers.

"And, Oracle's own
CEO, Larry Ellison, conceded that at least one of the options suggested
by Oracle as a viable alternativethe best of breed' approach--is
more expensive than it is functional, saying that this concept only
works at dog shows.'

"Although we are only
halfway through the trial, the government has already presented ample
evidence showing that Oracle's acquisition of PeopleSoft would harm
competition. Through cross examination, the government will continue
to provide evidence to support this claim.

"I am proud of the fine work of the entire trial team as the government
rests its case. I know that the men and women on the trial team will
continue their efforts to protect competition in this important industry.
I also appreciate the cooperation and support that we have received
from the 10 states that have joined us in this effort."